Hope not too but it is at slightly below book value. If it did go below $2, assuming there hasn't been negative news or a general crash in prices, I think it would get some serious buying from the value crowd.
Hear their network is better in certain places but where I live it has historically been complete garbage. I'm not sure my family would switch to them if the price was half of what Verizon charges simply out of safety concerns.
Might have to look into switching to T Mobile but Verizon sure is exceptional.
Sprint and Clearwire fought for years over many issues. In the end though Softbank wanted Sprint to buy Clearwire for the spectrum, as you indicated. The network however is being shut down and is only in place to avoid cutting off current customers.
Maybe Sprint was totally thrilled with the performance of the Dragonwave equipment in the network being shut, I have no idea but it is extremely hard to buy the argument that Sprint and Dragonwave have a special relationship of some kind.
Wouldn't count on Softbank's backing them unless by that you mean issuing more shares. Besides, isn't Sprint abandoning the network that DRWI was a part of due to its economic failure?
It's an interesting question. I tend to not place all that much worth in relationships with equipment vendors provided they have a proven ability to deliver. On that count I have a hard time saying anything other than the Clearwire roll-out was a disaster. Probably wasn't Dragonwave's products that caused the problems but I wouldn't necessarily count it as a positive either as Sprint is shutting down that network. Also, who knows, maybe Iliad (sp) will acquire T-Mobile and approach things differently too.
All a big muddle. I basically have no idea how things will shake out but am willing to bet that CRNT out-performs their competitors. Whether that will be enough to make real money I don't know.
It is good news but I wouldn't go that far until I read the terms and covenants. They might not be able to access it if CEO left, they might have stiff earnings requirements, they might not be able to draw down unless certain requirements are met., it might be cancelled if someone at firm is indicted.
Have to read the agreement before declaring victory.
Will be interesting to see. You know I don't think much of management and that they have crossed the line into outright lying at times but I still can't bring myself to call them fraudulent.
Wonder if Canadian companies can be sued in the same fashion as American companies? I'm pretty sure they could be as they are covered by SEC regulations but if the lawsuit is brought in Ontario it might present difficulties. I'm too busy to do it now but that might be interesting to look into.
Maybe someone would buy them but I sure can't think of who it would be.
Consolidation makes the most sense. DRWI came within a hair of selling out in the share offering before the latest but it is difficult when your shares are so overvalued. Now that they have done the latest offering it could be several years before they burn through it all again so everyone gets to keep their jobs and the shareholders get to continue watching them burn through the cash.
Would be nice to have a feel for what the Mongolian people and their leaders think. On the one hand, it is a 100 year mine so they have to plan for the long-term but maybe they don't really want it? Hard to imagine not wanting it but it isn't completely unheard of for people to turn their back on development.
Interesting situation. If they report good results it has a negative impact on rate request. If they have bad results, it improves their prospects. I don't know how anyone could get uptight one way or the other; it makes no difference that I can see.
Oh yea. Timing is important.
I don't think they will have any trouble closing but they sure did have trouble closing the last one so I don't think one can say for sure until the money is in hand. Having said that, they can always just adjust terms, there is little question they can get some money.
Hope so. Spoke to IR who said that Zohar Zisapel (Chairman) had participated in the offering. Then again, he has so much money he can afford to be generous.
They may have just made a mistake in terms of thinking that the LOC was sufficient although that is a little bit hard to believe given the short time frame from the last conference call. From the last call:
Russell Frederick - Vice President, Finance, Chief Financial Officer
Yes, so the dynamics on cash in Q1 were—we used about $6 million of cash, and then we accessed $2.5 million of cash from our credit line for a net—I think the actual number is about 3.4 in terms of the cash balance coming down. We expect similar dynamics in our second quarter, so I would expect the cash balance at the end of the second quarter to be somewhere between $12 million and $13 million. So I think there is progress over time in terms of bringing the burn down, and subject to the comments Peter just made, we’re just going to continue on that journey.